Since November 2024, Spaniards aged 52 and over who receive the unemployment subsidy have faced a change when they take a full-time job. Under the new rules, the Servicio Público de Empleo Estatal (SEPE), the public agency that administers unemployment subsidies, suspends its pension contributions while beneficiaries combine the subsidy with full-time employment. The change comes through the Complemento de Ayuda al Empleo (CAE), part of Spain’s 2024 reform of unemployment protection. It affects how future pensions are calculated for older workers.
Previously, SEPE continued to pay pension contributions based on 125% of the minimum contribution base, even when recipients were working. These contributions counted towards the eventual retirement pension and could help meet the requirements for early retirement. Under the CAE, but, SEPE contributions stop for those who take full-time contracts. Only the employer’s contributions, based on the actual salary, count during this period. The worker remains protected, but the base for future pension calculations may change depending on the new job’s salary.
Part-Time vs. Full-Time Work
The distinction between full-time and part-time work matters. If a beneficiary accepts a part-time job, SEPE continues to contribute, with the amount reduced in proportion to the hours worked. The public contribution and the employer’s payment coexist, creating a broader base for pension calculations. With full-time employment, SEPE’s contribution stops for the duration of the CAE, leaving only the employer’s payments.
The financial impact goes beyond pension contributions. The subsidy amount also changes. For full-time workers, the CAE payment starts at €480 per month in the first quarter and drops to €120 from the fifth quarter onward. For part-time workers, the amount ranges from €450 to €30, depending on the percentage of hours worked and the time elapsed. Once set, the amount does not change if working hours are later adjusted.
Duration and Suspension
The CAE can be received for a maximum of 180 days, either consecutively or across several contracts. Each day of CAE use reduces the total duration of the original subsidy. If employment ends before all 180 days have been used, the beneficiary must notify SEPE within 15 working days. If the job continues after the 180-day limit, the subsidy is suspended. It can resume only if the person becomes legally unemployed again and still meets the requirements. The same subsidy cannot be combined with another job after the 180 days, even if those days were split across multiple contracts.
Eligibility and Requirements in 2026
In 2026, the standard subsidy remains €480 per month, equivalent to 80% of the IPREM (€600). Applicants must have a personal income of no more than €915.75 per month, or 75% of the minimum wage. The calculation excludes the proportional part of extra payments. During the CAE, the compatible salary does not count towards future renewals or extensions. The right to the subsidy can continue until the legal retirement age.
To qualify, applicants must be at least 52 years old and have either exhausted their contributory unemployment benefit since November 2024 or be legally unemployed with at least 90 days of contributions. They must be fully unemployed or working part-time when they apply, meet all retirement requirements except age, and have at least six years of unemployment contributions in Spain. Annual income declarations are mandatory and must be submitted within 15 working days every twelve months. Failure to submit them interrupts both payment and SEPE contributions.
Talent24h reported that the change alters Spain’s approach to supporting older jobseekers. It gives greater weight to the terms of new employment contracts and may influence decisions by people considering a return to work after 52.
